“The reason why the purchase of new Bitcoin ETFs by investors doesn’t drive up the price is because the outflows from GBTC (Grayscale Bitcoin Trust) and BTC sales have surpassed the combined inflows into all ten other Bitcoin ETFs,” wrote Peter Schiff.
Schiff went on to suggest that the crypto industry will face even greater setbacks.
“Once the initial demand for ETFs subsides, I anticipate prices will fall even further,” he warned.
It’s worth noting that Bitcoin dropped to $41,000 due to weak interest in spot ETFs. Just two days after their launch, trading volume for these funds reached $3.1 billion. The decline in Bitcoin’s price resulted in a 3.5% drop in the overall market, with major altcoins experiencing losses as well.
Schiff has long anticipated the downfall of the original cryptocurrency, regularly expressing his views on social media. Recently, he claimed that Bitcoin’s collapse will be more spectacular than its growth. Additionally, Schiff criticized CNBC for their allegedly biased coverage of investing in Bitcoin.